When looking for a factoring company, begin your search with your industry. A number of factoring companies provide invoice factoring for business services, distribution, manufacturing and staffing, but some factoring companies specialize in construction, government and healthcare. There’s also a large number of factoring companies that specialize in freight and trucking.
Good factoring companies offer reasonable rates and good terms. Look for short-term contracts, no minimums and selective invoice factoring. Get a monthly contract, or even a 6 to 12 month contract, without getting locked into a multi-year agreement. You’ll be glad you did if your financial circumstances change or you become dissatisfied with your factoring company.
If your business has seasonal or monthly fluctuations in revenue, then avoid minimum volume contracts. Make sure you don’t have to factor all your invoices, especially if you only want to factor your slow-paying accounts or certain customers.
Great factoring companies offer great service. Staff are courteous and professional. Sales people are transparent and respectful. When it comes to your invoices and customers, account managers are attentive to your everyday needs. Management prides itself on the utmost integrity and honesty to gain your trust.
FactoringClub’s annual awards program helps you find solid, trustworthy factoring companies. Because we work with factoring companies day-in and day-out, we’re familiar with the very best ones. Our mission is to help you find the right factoring company for your business, so we take great pride in our awards program every year.
FactoringClub full disclosure
Our factoring company awards are independently based on standard terms of service, customer service and industry leadership. FactoringClub has referral agreements with all our sponsor factoring companies, not just the award winners. Call our factoring experts at 866-748-7111 for free consulting and broker services.